scholarly journals Application of Bootstrap Panel Granger Causality Test in Determining the Relationship between Renewable and Non-Renewable Energy Consumption and Economic Growth: a Case Study of OPEC Countries

2021 ◽  
Vol 6 (1) ◽  
Author(s):  
Maryam Keshavarzian ◽  
Zohre Tabatabaienasab
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Granger Causality ◽  
Granger Causality Test ◽  
Renewable Energy Consumption ◽  
Causality Test ◽  
Panel Granger Causality ◽  
The Relationship

Can conventional energy be replaced by renewable energy without harming economic growth in non-oil-MENA? Evidence from Granger causality in VECM

2019 ◽  
Vol 15 (2) ◽  
pp. 159-168
Author(s):  
Badry Hechmy
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Granger Causality ◽  
Renewable Energy Consumption ◽  
Causality Test ◽  
Content Type ◽  
Investigation Methods ◽  
The Relationship

Purpose The purpose of this paper is to examine the relationship between renewable energy consumption and economic growth in non-oil countries in the Middle East and North Africa (non-oil-MENA) during the period from 2000 to 2014. The Pedroni (2000) test shows that there is a long-term cointegration relationship between those variables; however, the Granger causality test in the vector error correction model (VECM) shows that this relationship is bidirectional in the short and long term. Thus, to ensure sustainable economic growth without pollution and to reduce dependence on abroad, renewable energies can be chosen as substitutes for conventional energies in the non-oil-MENA countries. Design/methodology/approach First, LLC and IPS unit root tests are used to test the variables stationarity; and, second, Pedroni panel cointegration and Engle–Granger causality by VECM analysis are used to check the relationship between the studied variables. Findings Empirical results show that the renewable energy consumption and economic growth are cointegrated and that there are two-way causal relationships between them in the long and in the short term. These countries must therefore encourage the consumption of renewable energy instead of traditional energy to reduce their dependence on energy from abroad and CO2 pollution. Originality/value The originality of this work lies in the measurements of the study variables and the empirical investigation methods used.

Linking energy consumption with economic growth: Rwanda as a case study

2021 ◽  
pp. 181-200
Author(s):  
Gerard Bikorimana ◽  
Charles Rutikanga ◽  
Didier Mwizerwa
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Granger Causality ◽  
Granger Causality Test ◽  
Causality Test ◽  
Ardl Bounds Test ◽  
Causal Direction ◽  
Bounds Test ◽  
Toda And Yamamoto

This paper analyzes the link between energy consumption and economic growth in Rwanda for the period 1985-2017. The ARDL bounds test was used to test for the existence of co-integration, while the Toda and Yamamoto granger causality test was applied to test for causal direction. The results from the estimation of the ARDL bounds test showed that there was no evidence of co-integration between the considered variables under study. Additionally, the empirical findings confirmed that there was no relationship between economic growth and energy consumption in Rwanda. The findings supported the "neutrality hypothesis" between energy consumption and economic growth. This implies that neither conservative nor expansive policies in relation to energy consumption have any effect on economic growth. Furthermore, the study found a uni-directional granger causality running from energy consumption to economic growth. The results of this findings are consistent with the "growth hypothesis" which postulates that energy consumption leads to economic growth

Study of the Relationship among Economic Growth, Export and Energy Consumption in China

2014 ◽  
Vol 694 ◽  
pp. 542-546
Author(s):  
Xiao Wei Yang
Keyword(s):  
Economic Growth ◽  
Energy Consumption ◽  
Granger Causality ◽  
Granger Causality Test ◽  
Analytical Framework ◽  
Test Method ◽  
Causality Test ◽  
Equilibrium Relationship ◽  
The Relationship

This paper uses co-integration theories and Granger causality test method to analyze the inter-linkages among China's economic growth, export and energy consumption within a unified analytical framework. The results show that there exists a long-term equilibrium relationship between economic growth, exports and energy consumption, and economic growth and exports both promote energy consumption in the long term. Furthermore, there exist bi-directional Granger causality between economic growth and energy consumption, export and energy consumption respectively.

The Analysis of Energy Consumption and Economic Growth in China

2011 ◽  
Vol 361-363 ◽  
pp. 1708-1712
Author(s):  
Su He ◽  
Ming Ming Chang
Keyword(s):  
Economic Growth ◽  
Economic Development ◽  
Energy Consumption ◽  
Granger Causality ◽  
Granger Causality Test ◽  
Causality Test ◽  
The Relationship ◽  
Cointegration Relationship ◽  
Reasonable Energy

This paper analyses the relationship between China's economic growth and energy consumption of the period 1978-2009 by the Granger causality test. The results of the study show that: economic growth and energy consumption have cointegration relationship, energy consumption promote economic growth, but economic growth is not Granger caused the consumption of energy. In order to promote China's economic development, the reasonable energy consumption quantity must be found, It's a new topic.

scholarly journals Empirical Research on the Relationship amongst Renewable Energy Consumption, Economic Growth and Foreign Direct Investment in Kazakhstan and Uzbekistan

Energies ◽  
2021 ◽  
Vol 14 (2) ◽  
pp. 332
Author(s):  
Janusz Grabara ◽  
Arsen Tleppayev ◽  
Malika Dabylova ◽  
Leonardus W. W. Mihardjo ◽  
Zdzisława Dacko-Pikiewicz
Keyword(s):  
Economic Growth ◽  
Foreign Direct Investment ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Direct Investment ◽  
Renewable Energy Sources ◽  
Energy Sources ◽  
Renewable Energy Consumption ◽  
Integration Test ◽  
The Relationship

In this contemporary era, environmental problems spread at different levels in all countries of the world. Economic growth does not just depend on prioritizing the environment or improving the environmental situation. If the foreign direct investment is directed to the polluting industries, they will increase pollution and damage the environment. The purpose of the study is to consider the relationship between foreign direct investment in Kazakhstan and Uzbekistan and economic growth and renewable energy consumption. The study is based on data obtained from 1992 to 2018. The results show that there is a two-way link between foreign direct investment and renewable energy consumption in the considered two countries. The Granger causality test approach is applied to explore the causal relationship between the variables. The Johansen co-integration test approach is also employed to test for a relationship. The empirical results verify the existence of co-integration between the series. The main factors influencing renewable energy are economic growth and electricity consumption. To reduce dependence on fuel-based energy sources, Kazakhstan and Uzbekistan need to attract energy to renewable energy sources and implement energy efficiency based on rapid progress. This is because renewable energy sources play the role of an engine that stimulates the production process in the economy for all countries.

scholarly journals The Relationship between Economic Growth and Pollution in Some New European Union Member States: A Dynamic Panel ARDL Approach

Energies ◽  
2021 ◽  
Vol 14 (9) ◽  
pp. 2363
Author(s):  
Mihaela Simionescu ◽  
Carmen Beatrice Păuna ◽  
Mihaela-Daniela Vornicescu Niculescu
Keyword(s):  
Economic Growth ◽  
Renewable Energy ◽  
Energy Consumption ◽  
Ghg Emissions ◽  
Kuznets Curve ◽  
Renewable Energy Consumption ◽  
Panel Ardl ◽  
Domestic Credit ◽  
The Impact ◽  
The Relationship

Considering the necessity of achieving economic development by keeping the quality of the environment, the aim of this paper is to study the impact of economic growth on GHG emissions in a sample of Central and Eastern European (CEE) countries (V4 countries, Bulgaria and Romania) in the period of 1996–2019. In the context of dynamic ARDL panel and environmental Kuznets curve (EKC), the relationship between GHG and GDP is N-shaped. A U-shaped relationship was obtained in the renewable Kuznets curve (RKC). Energy consumption, domestic credit to the private sector, and labor productivity contribute to pollution, while renewable energy consumption reduces the GHG emissions. However, more efforts are required for promoting renewable energy in the analyzed countries.

The relationship between financial development and economic growth in Eswatini (formerly Swaziland)

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Siphe-okuhle Fakudze ◽  
Asrat Tsegaye ◽  
Kin Sibanda
Keyword(s):  
Economic Growth ◽  
Granger Causality ◽  
Financial Development ◽  
Granger Causality Test ◽  
Causality Test ◽  
Content Type ◽  
Distributed Lag ◽  
Long Run ◽  
Short Run ◽  
The Relationship

PurposeThe paper examined the relationship between financial development and economic growth for the period 1996 to 2018 in Eswatini.Design/methodology/approachThe Autoregressive Distributed Lag bounds test (ARDL) was employed to determine the long-run and short-run dynamics of the link between the variables of interest. The Granger causality test was also performed to establish the direction of causality between financial development and economic growth.FindingsThe ARDL results revealed that there is a long-run relationship between financial development and economic growth. The Granger causality test revealed bidirectional causality between money supply and economic growth, and unidirectional causality running from economic growth to financial development. The results highlight that economic growth exerts a positive and significant influence on financial development, validating the demand following hypothesis in Eswatini.Practical implicationsPolicymakers should formulate policies that aims to engineer more economic growth. The policies should strike a balance between deploying funds necessary to stimulate investment and enhancing productivity in order to enliven economic growth in Eswatini.Originality/valueThe study investigates the finance-growth linkage using time series analysis. It determines the long-run and short-run dynamics of this relationship and examines the Granger causality outcomes.

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